Confusion, crisis: 90% industrial units stay shut in Chandigarh

Nearly 90% of the units in the city’s twin industrial areas remained closed amid low demand prospects and inadequate labour

Even as Chandigarh administration lifted the 41-day curfew, allowing industrial activity to resume, nearly 90% of the units in the city’s twin industrial areas remained closed on Monday.

Long queues of vehicles trying to enter Chandigarh from Zirakpur, while the opposite lane wears a deserted look, after easing of restrictions in the UT on Monday. (Ravi Kumar/HT)

Confusion over whether odd-even formula was applicable to the industry, low demand prospects for the local manufacturing units, inadequate labour and even poor financial status of companies resulted in very few units opening up.

“Even though the UT order on lockdown on Sunday didn’t mention the odd-even formula, on Monday police personnel were asking industrial units with odd address number to close down. This created a lot of confusion and many owners decided to keep their factories shut,” said Pankaj Khanna, president, Industries Association of Chandigarh.

Also, movement back to Panchkula and Mohali was a big issue for industrialists coming from these cities to Chandigarh. “A common plan of movement is a must for the tricity, so that it does not discourage people from entering Chandigarh,” said Naveen Manglani, president, Chamber of Chandigarh Industries.

The units that opened on Monday were primarily that of spare part units which are ancillary units to bigger factories outside the city. “With factories opening in other parts of the country, their ancillary units had a reason to open up. But, most other units, like more than 100 furniture manufacturing units here, don’t foresee any demand in near future. And with labour shortage also being an issue, they decided not to open up,” said Ashok Goel, chief executive officer, Vanser, the Furniture Merchants.

SCREW MAKERS’ GROUSE

Meanwhile, Chandigarh Screw Manufacturers’ Association decided that all screw manufacturing units will be closed till May 17 in view of the risk of spread of coronavirus.

“The ration expenditure will be provided to the workers present in the city by the respective entrepreneurs. The delay in decision making regarding fixed electricity charges by the Chandigarh administration for Covid period is also criticised by the members unequivocally,” said BS Saini, general secretary of the association.